How diversified are you with your investment, crypto aside?

[feeling sound]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

I understand that it's risky, and would like to save in other ways too. But then whenever I start deciding ...

- savings account offers 0.65% APR, meaning I'd be saving liquidity but also Losing due to inflation.

- traditional markets have less fluctuation but are risky anyway, so may as well stick to BTC and ETH no?

- can't think of any other investment type that yields more than 10% py. Enough to cover inflation.

Any suggestions that could help change my mind?
 Or are all you deep into crypto only, like myself ?

Thanks!

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[Wind_FURY]

OP, there's starting to be no better opportunity to buy Bitcoin. Am I saying that it's the bottom of the current bear cycle? It might be. Am I 100% sure about this? No, but it probably is. What you can do is start making your Bitcoin purchases now, and buy every DIP. Unless a Black Swan event, Bitcoin should trade near the 200-week SMA for the coming weeks. If Black Swan event, big opportunity to deploy more of your savings. It's a risk and you shouldn't do it if you support a family/wife/kids.

[mk4]

- traditional markets have less fluctuation but are risky anyway, so may as well stick to BTC and ETH no?

There are far less risky traditional market assets, like index funds.

- can't think of any other investment type that yields more than 10% py. Enough to cover inflation.

A business. Start and grow a business yourself(or purchase one), then hire managers so the business be somewhat "passive"; without frequently needing your presence for the business to run.

[Franctoshi]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

I understand that it's risky, and would like to save in other ways too. But then whenever I start deciding ...

- savings account offers 0.65% APR, meaning I'd be saving liquidity but also Losing due to inflation.

- traditional markets have less fluctuation but are risky anyway, so may as well stick to BTC and ETH no?

Diversification of assets makes a whole lot sense as no one can really predict the future. However there are many assets you can diversify into Aside the Bitcoin and ETH , therefore I suggest adding a little Gold and silver as  a hedge to inflation equally make sense , Maybe going into investing in real estate depending on the capital that you're able to save. Investing in this areas can actually help someone hedge his funds during this high inflation.

[crzy]

Any suggestions that could help change my mind?
 Or are all you deep into crypto only, like myself ?

It's good for a young professional to think this way and I can really say that you're heading to a good path, all you have to do is to study and analyze the market.
Traditional market are still risky, same thing with cryptomarket and even with Bitcoin there's still a risk. Better to invest your extra money and don't rush things here.
Crypto usually works for more years before you can actually say that its working, there's no easy money here but if you do that consistently, you can succeed on that. Go for crypto, buy only good projects and stick with your strategy.

[TheUltraElite]

Putting 20% of salary into crypto is not what I would recommend, keep that limited to 10%, if you want to keep all your "investable" money on crypto.

If you are looking to diversify then dividing that into 5% each into crypto and stocks seems like a better option from my view. However this ratio will vary every month. In some months crypto will go up and you will not be buying any, in such months go for bigger numbers on stocks and commodities and vice versa.

As far as crypto is concerned only invest in bitcoin. Do not go for any altcoin as a beginner. For stocks I dont think this is the best place to talk about, you should do your own research for the long term ones and stack those up.

This is more or less what I follow. Crypto buying is once a month while I buy my chosen stocks every few weeks.

[Despairo]

A business. Start and grow a business yourself(or purchase one), then hire managers so the business be somewhat "passive"; without frequently needing your presence for the business to run.

I don't think a business can be said as passive even though you've have a managers to run your business, because a new business is hard to survive and need a hardwork that would lead you to think about your business for almost 24 hours/day.

I'd say an investment is where you're only need to study and learn at the beginning until you know both risk and reward, so you're no need to worry it everyday.

[Maus0728]

I am currently an undergrad and is heavily invested in bitcoin and other mainstream NFT that until now I haven't got my investment back, let alone the profits. My savings account(bank), on the other hand, only serves as an emergency fund worth of 3 months, this means that this is liquid and can be withdrawn immediately when things got bad.

Outside the academic stuff, I also do some side projects(e.g., drawing commission,graphics), along with planning an e-commerce niche that runs on advertisement on facebook.

The point is, you can't expect to beat the inflation by simply relying on the APY return from your savings account and you need to find alternative to increase your active and passive income. After which, you can then plan to diversify your asset (which I am planning to do so) with alternative like bonds, real estate/rental properties, ETF's..

Do note that I am DCA'ing BTC while building all those stuff I have said..

[Rruchi man]

Any suggestions that could help change my mind?

The best investment for the now is crypto particularly since you don't have enough income yet to invest in something big that needs a huge capital and you are just starting. Investment in Land and property is another profitable investment but since you can't just yet, stick to crypto (particularly bitcoins) until you have enough money to consider real estate.

[pawanjain]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

I understand that it's risky, and would like to save in other ways too. But then whenever I start deciding ...

- savings account offers 0.65% APR, meaning I'd be saving liquidity but also Losing due to inflation.

- traditional markets have less fluctuation but are risky anyway, so may as well stick to BTC and ETH no?

- can't think of any other investment type that yields more than 10% py. Enough to cover inflation.

Any suggestions that could help change my mind?
 Or are all you deep into crypto only, like myself ?

Thanks!

Crypto is just so tempting that our mind makes us invest in crypto whenever we think of an investment.
I have put most of my investment in crypto but also some I have tried to diversify by putting some amount into stocks.
Last year I made a little investment in land just so that I can diversify more and I think gold and bonds are some lucrative investments too.

[AbuBhakar]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

I understand that it's risky, and would like to save in other ways too. But then whenever I start deciding ...

- savings account offers 0.65% APR, meaning I'd be saving liquidity but also Losing due to inflation.

- traditional markets have less fluctuation but are risky anyway, so may as well stick to BTC and ETH no?

- can't think of any other investment type that yields more than 10% py. Enough to cover inflation.

Any suggestions that could help change my mind?
 Or are all you deep into crypto only, like myself ?

Thanks!

That’s a sucks APY offered by the bank you got there. In my country banks offer up to 3% interest per annum but still too small compare pd to DeFi yield offer. Many popular exchange offers 4% to 6% APY using stablecoin. This is the safest path to choose if you are considering passive profit with less volatility risk. The only risk involved on this is the exchange itself which will hold your balance like banks doing on your money.

[CryptocurencyKing]

Holding, savings and diversification of income in order to maintain an income source. Its definitely a good idea but, I must say, one of the reasons or in fact, the major reasons why people try to own and increase there bitcoin or crypto portfolio is because its a promising asset. Especially when you invest in bitcoin. If your able to hold, your sure it would yield some good value in the future.
Hence, you actually did invest in an asset.

That's what you should do when thinking of places to put your money. Is it an asset? Does it have a promising value in a few years? And not just to live money in some bank account and be expecting profit on it. Look out for businesses that works in your place study and invest in them. It's way better than savings in the bank.

[jakelyson]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

I understand that it's risky, and would like to save in other ways too.

That is already a good start. Not all young professionals can invest 20% of their salary. Most of them spend them all on vices and unnecessary expenses.

When you have enough profit from your bitcoin, maybe you can explore investing in land or buying houses and then rent them out. You will never lose investing in land because it never depreciates. Its value keeps on appreciating as time goes by.

[virasisog]

20% investment allocation from your investment will be a good start. You're heading on the right path especially if your target will be a long-term investment. You only have to pick good coins and I must say that Bitcoin and Ethereum are perfect choices. Since you know the risks of crypto investment, what you need to do now is to deal with its volatility. Learn everything about how the market moves so you'll know when is the best time to sell and to buy but for now, buying will be a wise move.

[mk4]

I don't think a business can be said as passive even though you've have a managers to run your business, because a new business is hard to survive and need a hardwork that would lead you to think about your business for almost 24 hours/day.

I mean, obviously. You do the initial work to the point that it can run on it's own.

Also, you can buy businesses that are already running and fully functional. Not every "investment" needs to be through an exchange or stock broker.

I'd say an investment is where you're only need to study and learn at the beginning until you know both risk and reward, so you're no need to worry it everyday.

Then you're specifically talking about asset investments, not investments in general.

[salad daging]

You have allocated quite a lot to invest in crypto with 20% of your monthly salary, that's a very good placement even the same I have also allocated from my salary to invest in crypto with DCA strategy that I applied, it will be much better for me.

Not only that, there are actually many better and more stable opportunities if you want safe investments, such as bonds, gold, real estate and many others.
But I have never taken an offer from a bank even though with a high APR this is not convincing enough for me but everyone will respond differently to it.

But the important thing is that you have to learn with good management and the risks you face, but if you believe in crypto it's better to focus on bitcoin which is much better than other coins.

[hugeblack]

The current price may be the best opportunity to buy bitcoin at a low price in the next 10 years so there is no alternative but to buy when the price is down but the $22,000 average seems like a good starting point.
Saving does not work in cryptocurrencies, but rather investing because you will need to forget this amount for several years, otherwise you may end up losing your money or being less than the inflation rate.
I do not advise you to invest in many digital currencies, but rather in Bitcoin and keep cash if the price of Bitcoin drops

[sana54210]

I'm a young professional, starting working a year ago, and so far I've been placing 20% of my monthly salary into crypto (only crypto).

Sounds great for someone being new to crypto and having such confidence because if I had the same confidence years back I would be so rich today that I might never have to work again.

Regarding the APR & APY, I am not great at understanding which token/coin offers the best returns and neither I am a big fan of staking because I have been more into holding than trading or staking. I would highly recommend you to just hold and wait for the market to pump and be careful of APY scams .. there are some ponzis out there luring investors with high returns.

Make sure you control your private keys for the addresses/wallets at all times!

[jackg]

I'm a young professional

Professional in what? Can you invest directly in that? Most more direct and well managed investments are likely able to make you 10-20% a year if you're in a growing industry or one with a lot of customers.

I think things like value investing might be areas you'd be able to look into too if you're happy to hold investments for a while (they're generally quite profitible as a lot are companies that have higher burdens/risk in the immediate term but can produce a higher income over a longer period of time - they also seem to perform better than 10% on the year but I've only been tracking them for a few years).

[milewilda]

Any suggestions that could help change my mind?
 Or are all you deep into crypto only, like myself ?

Thanks!

If you do love to have that less than 1% APRon storing up your cash then its your choice since its your money.If you couldnt bare up the risk involved here in crypto space then it would really be also your
choice.Some people couldnt really just able to tolerate the risk and would stick out into those traditional investment but if we do really sensibly think then it isnt really just worth it i must say.
You cant really able to tell on what would be the outcome of your investments but its isnt really bad to take up some consideration to diversify in other markets and of course you do
really need to embrace the risk involved on it if you do really like for at least having that chance on earning more on what you are trying out to achieve.